In this Discussion

RE license value added?

Just listened to Mark's podcast about having access to the MLS and making hot and fast deals. It sounds compelling and I am interested in looking into attaining my RE license in Missouri. I am currently an investor with a growing portfolio of houses in KCMO. I would find value in having access to the MLS but only if I am able to buy and sell independently without working under a broker who will require that I pay commissions. My question is this: am I

required to work under a firm/broker in order to attain a license and have access to the MLS? How can I then offers on houses or sell them independent of the broker for whom I am affilated? I want to ensure that I am playing by the rules and not breaking any laws - any thoughts out there?

Melissa

Comments

Here's the thing though. The commissions you pay the broker will be a percentage of the commissions you get. If the value added by getting your license to you, it is worth it to you to pay your broker a portion of your commission. If you have a 50% split, you're still getting more money for buying a house than you are without a license.

Keep in mind, there are fees. MLS fees are commonly a few hundred dollars a year. Realtor fees, if you're a Realtor. Desk fees, depending on the broker you're with.

I have no idea what the prices are where you live, but here, one average transaction, even after the split to the broker, more than covers the annual fees. But don't be surprised if you're paying more than $1,000 a year on misc. fees.

Once you have your license, you'll have the most up to date info with the MLS, and you won't have to rely on someone else to submit offers or do communications for you. Right now, we have a significant portion of our listings going under contract before the even make it to the MLS. The only way you're going to know about that stuff is if you're licensed.

I've heard that being a RE agent can negatively impact the perception of you by people you are buying from, that it can make you a target. Because you have to disclose you are a licensed agent, many people may feel that either they should not have to pay a commission, or they feel the agent is taking unfair advantage over them.